Stock Market Live Updates Today: BSE Sensex and Nifty50 may see a muted start to the session. Indian equity markets showed resilience on Thursday, with the Nifty ending the session 82 points higher. Market sentiment remained supported by softer crude oil prices, a steady rupee and optimism over the US-Iran agreement. Analysts believe domestic equities could maintain their constructive momentum and continue a gradual upward trajectory. Gold prices edged lower on Friday and remained on course for a third straight weekly decline as a firmer dollar and hawkish signals from the US Federal Reserve reduced the appeal of the non-yielding asset.
Sebi Proposes Changes to Margin Trading Facility
The Securities and Exchange Board of India (Sebi) on Thursday unveiled a set of proposed revisions to the margin trading facility (MTF) framework, including stricter capital requirements for brokers and broader avenues for raising funds. The proposals are part of a wider review intended to reinforce risk management standards while also improving operational flexibility for market intermediaries offering the facility.
In its discussion paper, the regulator noted that the rapid growth in margin trading volumes has made it necessary to reassess the existing framework to ensure robust safeguards remain in place without hampering ease of business.
Under the margin trading facility, investors are allowed to purchase shares by paying only a portion of the transaction value, while brokers finance the balance amount. Such funding typically carries annual interest rates ranging between 9% and 15%. Investors generally receive leverage of three to four times their initial margin and are required to pledge securities as collateral.
Among the proposed changes, Sebi has recommended raising the minimum net-worth requirement for brokers providing MTF services from Rs 3 crore to Rs 5 crore. It has also suggested extending eligibility to brokers operating under a limited liability partnership (LLP) structure.
The market regulator further proposed allowing brokers to mobilise funds for margin financing through non-convertible debentures (NCDs) and other debt instruments, thereby widening the funding options currently available. In addition, Sebi has recommended modifications to exposure norms that would enable brokers to allocate a larger share of their net worth towards margin funding, while ensuring a designated portion of capital remains reserved for core brokerage activities.
The average MTF book across the NSE and BSE has remained above Rs 1.1 lakh crore over the last three months, highlighting the growing scale of the segment.
Nifty Outlook: Bajaj Broking
Index formed a bullish candlestick pattern with a higher high and a higher low signaling continuation of the positive momentum as the index tested the 58,000 levels. Key observation in the daily chart is that the 20 days EMA has generated a bullish crossover above its 50 days EMA, thus supporting the positive bias in the index.
We expect the index to maintain positive bias and head towards 58,300 and 59,250 levels in the coming weeks, being the measuring implication of the recent range breakout and the 138.2% external retracement of the previous decline 57456-52783.
Some consolidation after a 5000-point up move in just 13 sessions cannot be ruled out in the Bank Nifty. However, we believe the overall structure is positive, and any dips should be used to accumulate quality banking stocks in a staggered manner. Key support is placed at 56,000 levels, being the confluence of the 38.2% retracement of the entire pullback 53,027-57954 and the recent breakout area.
Stock Market Round-Up of Thursday's Session
Sensex closed at 77,410.00, gaining 254.40 points (+0.33%). The index opened marginally lower by around 24 points at 77,131.65 and witnessed initial consolidation with mild profit booking, slipping to an intraday low of 76,953.00. However, buying interest emerged from lower levels, helping the index recover steadily and touch an intraday high of 77,492.35. The benchmark eventually settled near the day's higher levels at 77,410.00, indicating continued strength in market sentiment.
Technically, the index formed a bullish candle with a higher high and higher low structure, reflecting sustained buying interest on declines. The successful rebound from the 76,950 zone highlights strong demand at lower levels, while the index continues to trade comfortably above its key short-term moving averages and recent breakout zone. The prevailing trend remains positive, with momentum indicators supporting the ongoing upward move.
Sector-wise, Utilities, Hospitals, Services, Power, Telecommunication, Healthcare, Top 10 Banks, Financial Services, Bankex, and Private Banks led the gains. Buying interest was also visible in Consumer Discretionary, PSU Banks, Realty, Commodities, Metals, Capital Goods, and Industrials. On the other hand, Information Technology and Focused IT witnessed profit booking, while Energy remained marginally weak.
The overall market bias remains positive to bullish as Sensex continues to maintain its higher-high higher-low formation and sustains above key support levels. As long as the index holds above the 76,800-77,000 support zone, the broader uptrend is likely to remain intact. On the upside, immediate resistance is placed around 77,800-78,000, where some consolidation may emerge, while stock-specific action is expected to remain positive, said Hitesh Tailor, Technical Research Analyst at Choice Equity Broking Private Limited.
US Stocks End in Green
US equities advanced sharply on Thursday, led by technology and semiconductor stocks, as easing inflation concerns and developments in the Middle East lifted market sentiment. The Nasdaq surged 1.9%, with chipmakers providing much of the momentum, even as investors continued to factor in the possibility of Federal Reserve interest rate increases later this year.
The Philadelphia Semiconductor Index significantly outpaced the broader market, climbing 6.4%. Intel shares soared to an all-time high and ended the session 10.6% higher after US President Donald Trump said Apple had agreed to collaborate with the company on designing and producing chips within the United States.
Earlier in the day, crude oil prices fell to their lowest levels since early March after the US and Iran signed an interim agreement that extends the ceasefire announced in April by another 60 days, giving both sides additional time to negotiate a permanent settlement. Rising oil prices since the outbreak of the conflict in late February had been a major source of inflation concerns for investors.
Although Trump warned that military action could resume if Iran failed to comply with the agreement, commercial shipping activity began returning to the Strait of Hormuz. The key maritime route, which had faced disruptions to the movement of oil, natural gas, fertilisers and other cargoes during the conflict, saw its first vessels resume transit.
Nifty Outlook: Bajaj Broking
Index extended its up move as it gained for the fifth consecutive session. It has formed a bullish candlestick pattern with a higher high and a higher low, highlighting continuation of the positive momentum as the index closed firmly above the 24,100 levels. Index sustaining above 24,000-23 levels will keep the immediate bias positive and is likely to head to 24,270 and 24,350 levels in the coming session. Dips if any in the coming session should be used as a buying opportunity.
Nifty on Thursday's session generated a breakout above the falling channel containing the last two months' price action and has also closed above the previous swing high of 26th May, signaling strength and positive bias. Going ahead, bias remains positive and the index is expected to extend the current up move towards the April high of 24,600 in the coming weeks.
Some consolidation after a 1000-point up move in just five sessions cannot be ruled out in the Nifty. However, we believe the overall structure is positive, and any dips should be used to accumulate quality stocks in a staggered manner, with Nifty gradually heading towards the April high of 24,600 levels in the coming weeks.
Asian equities climbed to record levels as improving expectations around the reopening of the Strait of Hormuz boosted hopes of normalised oil supplies and lower inflationary pressures, encouraging risk-taking.
Wall Street ended in positive territory on Thursday, helped by strong gains in semiconductor stocks and easing concerns over inflation, although investors continued to factor in the possibility of Federal Reserve rate increases later this year.
The Japanese yen hovered near multi-decade lows, with traders remaining alert for possible intervention as neither prospects of a US-Iran peace deal nor higher Japanese interest rates were enough to reverse its prolonged weakness.
Disclaimer: Recommendations and views on the stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India.
